Biogen mentioned on Tuesday that it will exchange its chief government and successfully quit on advertising a high-profile Alzheimer’s drug that has been a business failure since its controversial approval almost a yr in the past.
Michel Vounatsos, who has led the drug maker for over 5 years and presided over the approval and launch of the drug, referred to as Aduhelm, will stay in his position till a successor is appointed, Biogen mentioned.
Biogen mentioned it deliberate to “considerably get rid of” its spending on the drug after Medicare formally determined final month to sharply restrict its protection of Aduhelm.
The Meals and Drug Administration accepted Aduhelm in June. It was the primary new therapy for Alzheimer’s in almost 20 years. It had been extensively anticipated to turn into a blockbuster drug inside a number of years, producing billions of {dollars} yearly for Biogen. However the approval was overshadowed by concern in regards to the drug’s unproven advantages and severe security dangers, in addition to in regards to the course of by which the F.D.A. had greenlighted it.
Medical doctors, insurers, and sufferers and their households haven’t embraced Aduhelm. On Tuesday, Biogen reported that the drug had introduced in simply $2.8 million in income within the first three months of this yr, after producing solely $3 million in 2021. Biogen initially priced the drug at $56,000 per yr for the typical affected person earlier than halving the associated fee in response to weak early gross sales.
Aduhelm had been anticipated to pressure authorities well being budgets. However Medicare determined to pay for the drug just for individuals who obtain it as members in a scientific trial. Final month, Biogen mentioned it will withdraw its software to market the drug within the European Union after drug reviewers indicated that it was unlikely to win approval.
